OJSC MAGNIT: Execution of the Related Party Transaction
December 28, 2012
OJSC "Magnit" announces the execution of the related party transaction
Krasnodar, December 28, 2012: OJSC "Magnit" (the "Company", the "Issuer"; MICEX and LSE: MGNT) announces the execution of the related party transaction on December 28, 2012.
The essentials of the transaction are as follows:
Type of transaction: Related party transaction
Subject of Provision by the Issuer of the guarantee to the credit transaction: agreement №108-VKL/KRD-12, executed between JSC "Tander"
and "Absolut Bank" joint-stock commercial bank (closed joint-stock company) of December 19, 2012
Content of the In accordance with the guarantee agreement №108-DP1/KRD-12 transaction: of December 28, 2012 the guarantor shall be solidarily
liable to the creditor for the obligations of the borrower under the credit agreement executed on the following terms: * Amount of credit: 1 000 000 000 (one billion) rubles * The granted term of the credit is until July 31, 2013 * The borrower shall pay the interest on credit to the creditor at the rate determined by the credit agreement but not exceeding 20% per annum * The liability of the guarantor is limited by the amount of 1 250 000 000,00 (One billion two hundred and fifty thousand million) rubles
Deadline for the The guarantee is valid until the borrower fulfills fulfillment of the obligations to the creditor under the credit agreement but obligation: no longer than 1 (One) year from the agreement end date
Parties and The creditor - "Absolut Bank" joint-stock commercial bank beneficiaries under (closed joint-stock company) transaction:
The guarantor - open joint-stock company "Magnit" The borrower (beneficiary) -joint-stock company "Tander"
The Amount of the The liability of the guarantor is limited by the amount of transaction in the 1 250 000 000,00 rubles which amounts to 1,913% of the monetary value and balance sheet assets of the issuer as a % of the asset value of the issuer:
Asset value of the 65 342 418 thousand rubles issuer as of the closing date of the accounting period preceding the execution of the transaction:
Date of the December 28, 2012 transaction execution:
Information on the The transaction was approved by the General shareholders' approval of the meeting (the minutes of the AGM of OJSC "Magnit" w/o No. transaction: of May 28, 2012)
For further information, please contact:
Oleg Goncharov Director, Investor Relations
e-mail: Goncharov@gw.tander.ru Tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 5100 Mob.: +7 (903) 411-40-35 Direct line for investors only: +7 (861) 277-45-62
Dina Svishcheva Manager, Investor Relations
e-mail: Chistyak@gw.tander.ru Tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 5101 Mob.: +7-961-511-02-02 Direct line for investors only: +7 (861) 277-45-62 Company description: Headquartered in the southern Russia city of Krasnodar, Magnit (LSE and MICEX: MGNT) is the holding company for a group of entities that operate in the retail trade under the "Magnit" brand. The chain of "Magnit" stores is one of the leading food retail networks in Russia. As of September 30, 2012 the chain consisted of 5,523 convenience stores, 105 hypermarkets, 11 "Magnit Family" stores and 480 cosmetics stores (drogerie) in 1,504 cities and towns throughout the Russian Federation. Approximately two-thirds of the Magnit's stores are located in cities with a population of less than 500,000 inhabitants. Most of its stores are located in the Southern, North-Caucasian, Central and Volga regions. The Company also operates stores in the North-Western, Urals and Siberian regions. As of September 30, 2012 Magnit operated an in-house logistics system consisting of 17 distribution centers, employing automated stock replenishment systems and a fleet of 4,082 vehicles. In accordance with the reviewed IFRS consolidated financial statements for 1H 2012, the Magnit recorded consolidated revenues of approximately $6.7 billion USD and a consolidated EBITDA of $671 million USD. 2 END -0- Dec/28/2012 11:25 GMT